You are here: Home - News -

Precise to launch limited company buy-to-let range

by:
  • 20/01/2016
  • 0
Precise to launch limited company buy-to-let range
Precise Mortgages is set to launch a limited company buy-to-let range available up to 80% loan-to-value (LTV) with rates starting at 4.09%, from tomorrow.

Maximum loan sizes vary depending on the LTV bracket, with a £1m cap at  70% LTV.

Applications falling within the 71% to 80% LTV bracket cannot exceed a maximum loan amount of £500,000. Applicants choosing a lifetime tracker product where the LTV does not exceed 60% can have a buy-to-let mortgage up to £3m.

The rental cover calculation is set at 125% of the mortgage interest rate or the product reversion rate, whichever is higher.

Highlights from the range include a five-year fixed rate priced at 4.69% available up to 75% LTV and a two-year fixed rate at 4.84% available up to 80% LTV. A lifetime tracker based 3.95% above LIBOR currently priced at 4.54% is available up to 80% as well as a selection of short-term tracker rates.

Managing director of Precise Mortgages Alan Cleary (pictured) said the range had been designed to give more options to customers and brokers following the announcement that tax relief for individual landlords would be reduced.

From April 2017,  the government will begin to phase out the higher-rate tax relief available to individual landlords gradually over a period of four years. Those who have a buy-to-let property will no longer to able to claim 45% tax relief on their monthly payments, instead they will only be able to claim the basic rate of 20%.

Cleary said that while a limited company wrapper may not be right for everyone it put that choice in the hands of intermediaries and their customers.

Applicants can have unlimited properties with other lenders and up to 10 properties with Precise. Mortgages with Precise cannot exceed £5m overall. The maximum age at application is 80 with a 30-year term permitted.

Newly-formed limited companies are accepted.

 

There are 0 Comment(s)

You may also be interested in

  • Congratulations to all those Lenders who have made the 2019 shortlist for the L&G Mortgage Club Awards… https://t.co/iyQJHI2aBT
  • Vote now in our poll: Are you working harder than ever to demonstrate your client value? - Mortgage Solutions… https://t.co/mWIWInGgpu
  • Congratulations to our finalists for Business Leader: Intermediary Lender (less than £5bn gross lending p.a) -… https://t.co/A6frxEHeiy

Read previous post:
Financial Services Compensation Scheme
FSCS expects to double 2016/17 mortgage broker levy

The Financial Services Compensation Scheme (FSCS) is proposing to double the levy imposed on mortgage intermediaries to £10m in 2016/17,...

Close